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Sublight2097 Sublight2097
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9 years ago
Suppose Factory A emits 15,000 units of "Yuck" monthly, Factory B emits 30,000 units, and Factory C emits 45,000 units. Also suppose A's cost of reducing the emission is $1 per unit, B's cost is $2 per unit, and C's cost is $3 per unit. If the EPA wishes to reduce total emissions down to 45,000 units per month, which of the following is the lowest-cost method?
A) Leave Factory C alone, and force both A and B to each reduce their emissions to zero units per month.
B) Leave Factory A and B alone, and force C to reduce emissions to zero units per month.
C) Leave Factory A alone, and force both B and C to each reduce their emissions to 15,000 units per month.
D) All of the above would be accomplished at the same cost.
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The Economic Way of Thinking

The Economic Way of Thinking


Edition: 13th
Authors:
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SydnieSydnie
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Sublight2097 Author
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#2
9 years ago
Seriously, you've been tremendously helpful! Thank you.
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